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LAW

On State Compensation Liability

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Pursuant to the Constitution of the Socialist Republic of Vietnam;

The National Assembly promulgates the Law on State Compensation Liability.

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation

This Law prescribes the State’s liability to pay compensation to individuals and organizations suffering from damage caused by official duty performers in administrative management, legal proceedings and judgment execution activities; compensable damage; rights and obligations of individuals and organizations suffering from damage; compensation-settling agencies; procedures for settlement of compensation claims; restoration of honor; compensation funds; reimbursement liability; and responsibilities of state agencies in state compensation work.

Article 2. Entities eligible for compensation

Eligible for compensation are individuals and organizations suffering from material damage or having mental suffering caused by official duty performers within the scope of state compensation liability prescribed in this Law.

Article 3. Interpretation of terms

In this Law, the terms and expressions below are construed as follows:

1. Damage sufferer means an individual or organization that suffers from a material damage or has a mental suffering caused by an official duty performer within the scope of state compensation liability prescribed in this Law.

2. Official duty performer means a person who is elected, approved, recruited or appointed in accordance with the law on cadres and civil servants and relevant laws to a position in a state agency to perform administrative management or conduct legal proceedings or judgment execution, or a person who is assigned by a competent state agency to perform a task related to administrative management, legal proceedings or judgment execution.

3. Compensation claimant means a person who files a written claim for compensation and is a damage sufferer, an at-law representative or authorized representative of a damage sufferer, an heir of a dead damage sufferer or an organization taking over the rights and obligations of a damage-suffering organization that has terminated its existence.

4. Illegal act of an official-duty performer means an act of failing to perform or exercise or unlawfully performing or exercising a task or power.

5. Document used as a basis for claiming compensation means a legally effective document issued by a competent state agency or person according to the law-prescribed order and procedures, clearly identifying an illegal act of an official duty performer, or a judgment or decision of a competent agency or person in criminal proceedings, clearly identifying a damage sufferer eligible for state compensation.

6. Compensation-settling person means a person assigned by a compensation-settling agency to settle a compensation claim.

7. Compensation-settling agency means an agency directly managing a damage-causing official duty performer or a court with jurisdiction to settle a case in accordance with the procedure laws.

8. Reimbursement means the liability of a damage-causing official duty performer to reimburse a money amount to the state budget in accordance with this Law.

Article 4. Principles of payment of state compensation

1. State compensation shall be paid in accordance with this Law.

2. The settlement of a compensation claim shall be carried out in a timely, public, equal, goodwill, honest and lawful manner and based on negotiations between the compensation-settling agency and compensation claimant in accordance with this Law.

The settlement of a compensation claim in criminal proceedings shall be carried out at the agency directly managing the damage-causing official duty performer under Section 1, Chapter V of this Law.

3. A compensation claimant that has requested one of the compensation-settling agencies defined in Clause 7, Article 3 of this Law to settle his/her compensation claim and had his/her claim accepted for settlement may not request another competent agency to settle his/her compensation claim, except the cases specified at Point b, Clause 1 and in Clause 2, Article 52 of this Law.

4. The State shall settle a compensation claim after a document to be used as a basis for claiming compensation is issued or integrate the settlement of a compensation claim in criminal proceedings or administrative proceedings at the court for compensation claims in administrative management, civil proceedings, administrative proceedings, execution of criminal judgments or civil judgments in accordance with this Law.

5. In case a damage sufferer is partially at fault in causing a damage, the State shall only pay compensation for the damage after subtracting the portion of damage caused at the fault of the damage sufferer.

Article 5. The right to claim compensation

The following persons have the right to claim state compensation:

1. Damage sufferers;

2. Heirs of damage sufferers that are deceased; organizations taking over rights and obligations of damage-suffering organizations that no longer exist;

3. At-law representatives of damage sufferers that are required by the Civil Code to have at-law representatives;

4. Individuals or legal entities authorized by persons specified in Clauses 1, 2 and 3 of this Article to exercise the right to claim compensation.

Article 6. Statute of limitations for claiming compensation

1. The statute of limitations for claiming compensation is 3 years from the date a person having the right to claim compensation specified in Clause 1, 2 or 3, Article 5 of this Law receives a document for use as a basis for claiming compensation, except the case specified in Clause 2, Article 52 of this Law and the case of request for honor restoration.

2. The statute of limitations for claiming compensation in the course of settlement of an administrative case shall be determined according to the statute of limitations for initiating such administrative case.

3. Periods of time not to be counted in the statute of limitations for claiming compensation include:

a/ The period of time when a force majeure event or an objective obstacle exists as prescribed in the Civil Code and renders the person having the right to claim compensation specified in Clause 1, 2 or 3, Article 5 of this Law unable to exercise such right;

b/ The period of time when the damage sufferer is still a minor, loses his/her civil act capacity or has limited civil act capacity or has difficulty in recognizing or controlling his/her acts and has no representative in accordance with law or has his/her representative dead or unable to continue acting as his/her representative until he/she has a new representative.

4. It is the obligation of damage sufferers to prove periods of time not to be counted in the statute of limitations for claiming compensation specified in Clause 3 of this Article.

Article 7. Grounds for determination of state compensation liability

1. The State shall pay compensation when all of the following grounds are available:

a/ One of the grounds for determining that an illegal act of an official duty performer causes damage and making a corresponding compensation claim as specified in Clause 2 of this Article;

b/ An actual damage caused to a damage sufferer within the scope of state compensation liability prescribed in this Law;

c/ A cause-and-effect relationship between the actual damage and damage-causing act.

2. Grounds for determining that an illegal act of an official duty performer causes damage and making a corresponding compensation claim include:

a/ A document to be used as a basis for claiming compensation as prescribed in this Law and a request for the agency directly managing the damage-causing official duty performer or the court with jurisdiction to settle civil cases to settle the compensation claim;

b/ The court with jurisdiction to settle administrative cases has determined that an illegal act of a sued official duty performer has caused a damage within the scope of state compensation liability and a compensation claim is made before or at the meeting to check the delivery of, access to, and public display of, evidence and have dialogues;

c/ The court with jurisdiction to settle criminal cases has determined that an illegal act of the defendant being an official duty performer has caused a damage within the scope of state compensation liability in the administrative management, civil proceedings, administrative proceedings, execution of criminal judgments or civil judgments, and a compensation claim is made in the course of settlement of a criminal case.

Article 8. Documents to be used as a basis for claiming compensation in the administrative management

Documents to be used as a basis for claiming compensation in the administrative management under Article 17 of this Law include:

1. Judgments and rulings of courts with jurisdiction clearly identifying illegal acts of official duty performers;

2. Complaint settlement decisions referred to in the law on complaints accepting part or all of complaint contents;

3. Decisions to cancel, revoke, modify or supplement illegally issued administrative decisions;

4. Decisions on handling of illegal acts of denounced official duty performers based on conclusions on denunciation contents in accordance with the law on denunciations;

5. Decisions on handling of illegal acts of official duty performers based on inspection conclusions in accordance with the law on inspection;

6. Decisions on disciplining of official duty performers for their illegal acts;

7. Other documents as specified by law satisfying the conditions prescribed in Clause 5, Article 3 of this Law.

Article 9. Documents to be used as a basis for claiming compensation in criminal proceedings

Documents to be used as a basis for claiming compensation in criminal proceedings under Article 18 of this Law include:

1. Judgments of courts with jurisdiction clearly identifying damage sufferers entitled to compensation;

2. Rulings or decisions of courts, procuracies, investigative bodies or bodies assigned to conduct a number of investigating activities clearly identifying damage sufferers entitled to compensation;

3. Other documents as specified by the criminal procedure law satisfying the conditions prescribed in Clause 5, Article 3 of this Law.

Article 10. Documents to be used as a basis for claiming compensation in civil proceedings or administrative proceedings

Documents to be used as a basis for claiming compensation in civil proceedings or administrative proceedings under Article 19 of this Law include:

1. Criminal judgments and rulings of courts with jurisdiction identifying proceedings-conducting persons in civil proceedings or administrative proceedings who commit the crime of making an illegal judgment or decision or falsifying a case’s or matter’s file;

2. Final rulings or decisions on complaint or petition settlement of chief justices of courts with jurisdiction or trial panels in accordance with the law on civil procedure or administrative procedure clearly determining illegal acts of official duty performers in the application of provisional urgent measures;

3. Decisions on investigation cessation of investigative bodies, decisions on case cessation of procuracies or courts in accordance with the law on criminal procedure against proceedings-conducting persons in civil proceedings or administrative proceedings who have made an illegal judgment or decision or falsifying a case’s or matter’s file but are exempted from penal liability in accordance with the Penal Code;

4. Decisions on complaint settlement or conclusions on denunciations of chief justices of courts with jurisdiction identifying proceedings-conducting persons in civil proceedings or administrative proceedings who commit the act of making an illegal judgment or decision or falsifying a case’s or matter’s file, and determining that such illegal act constitutes a ground for disciplining or criminally handling such persons who die before being disciplined or criminally handled;

5. Decisions on disciplining of proceedings-conducting persons in civil proceedings or administrative proceedings who commit the act of making an illegal judgment or decision or falsifying a case’s or matter’s file;

6. Other law-specified documents satisfying the conditions prescribed in Clause 5, Article 3 of this Law.

Article 11. Documents to be used as a basis for claiming compensation in the execution of criminal judgments

Documents to be used as a basis for claiming compensation in the execution of criminal judgments under Article 20 of this Law include:

1. Judgments and rulings of courts with jurisdiction clearly identifying illegal acts of official duty performers;

2. Decisions on complaint settlement made in accordance with the law on execution of criminal judgments partially or wholly accepting complaint contents;

3. Decisions on handling of denounced illegal acts of official duty performers based on conclusions on denunciation contents in accordance with the law on denunciations;

4. Decisions on disciplining of official duty performers for their illegal acts;

5. Other law-specified documents satisfying the conditions prescribed in Clause 5, Article 3 of this Law.

Article 12. Documents to be used as a basis for claiming compensation in the execution of civil judgments

Documents to be used as a basis for claiming compensation in the execution of civil judgments under Article 21 of this Law include:

1. Judgments and rulings of court with jurisdiction clearly identifying illegal acts of official duty performers;

2. Decisions on complaint settlement made in accordance with the law on execution of civil judgments partially or wholly accepting complaint contents;

3. Decisions on cancellation, revocation, modification or supplementation of judgment execution decisions which are illegally issued;

4. Decisions on handling of denounced illegal acts of official duty performers based on conclusions on denunciation contents in accordance with the law on denunciations;

5. Written replies of heads of competent civil judgment enforcement offices accepting protests of procuracies in accordance with the law on execution of civil judgments;

6. Decisions on disciplining of official duty performers for their illegal acts;

7. Other law-specified documents satisfying the conditions prescribed in Clause 5, Article 3 of this Law.

Article 13. Rights and obligations of compensation claimants

1. Compensation claimants that are damage sufferers have the following rights:

a/ To request one of the agencies specified in Clause 7, Article 3 of this Law to settle their compensation claims and be informed of results of the settlement of their compensation claims;

b/ To file complaints about, make denunciations or initiate lawsuits against illegal decisions or acts of competent persons in the settlement of their compensation claims in accordance with the laws on complains, denunciations and administrative procedure; to file complaints about or appeals against the court’s judgments or rulings in accordance with the procedure laws;

c/ To request competent agencies, organizations or persons to restore their rights or other lawful interests in accordance with law;

d/ To ask other persons to defend their lawful rights and interests;

dd/ To be guided by the state management agency in charge of state compensation or agencies directly managing damage-causing official duty performers in the procedures for claiming compensation;

e/ To authorize in accordance with the Civil Code other individuals or legal entities to exercise their right to claim compensation;

g/ Other rights as prescribed by law.

2. Compensation claimants that are damage sufferers have the following obligations:

a/ To promptly, accurately and honestly provide documents and evidence related to their compensation claims and take responsibility before law for the provision of these documents and evidence;

b/ To fully participate in the settlement of compensation claims at the request of compensation-settling agencies;

c/ To prove their actual damage is compensable in accordance with this Law and the cause-and-effect relationship between the damage and damage-causing acts;

d/ Other obligations as prescribed by law.

3. Compensation claimants that are at-law representatives or heirs of damage sufferers or organizations taking over rights and obligations of damage-suffering organizations that have terminated their existence have the rights and obligations specified in Clauses 1 and 2 of this Article.

4. Compensation claimants that are authorized representatives have the rights and obligations specified at Points a, b, c, d and dd, Clause 1 and in Clause 2 of this Article within the scope of authorization.

Article 14. Rights and obligations of damage-causing official duty performers

1. Official duty performers who cause damage have the following rights:

a/ To receive documents or decisions on settlement of compensation claims directly related to their rights and obligations in accordance with this Law;

b/ To denounce illegal acts of competent persons in the settlement of compensation claims, determine the reimbursement liability in accordance with the laws on denunciations; file complaints about or initiate lawsuits against reimbursement decisions or appeal against the court’s judgments or rulings in accordance with the laws on complaints and administrative procedure;

c/ Other rights as prescribed by law.

2. Official duty performers who cause damage have the following obligations:

a/ To promptly, fully, accurately and honestly provide information and documents related to the settlement of compensation claims at the request of compensation-settling agencies and take responsibility before law for those information and documents;

b/ To fully participate in the settlement of compensation claims at the request of compensation-settling agencies and the determination of the reimbursement liability at the request of agencies directly managing them;

c/ To reimburse to the state budget compensation amounts paid by the State to damage sufferers under decisions of agencies directly managing them;

d/ Other obligations as prescribed by law.

Article 15. Responsibilities of compensation-settling agencies

1. To receive and accept compensation claims for settlement;

2. To restore the honor of damage sufferers or request agencies directly managing damage-causing official duty performers to do so in accordance with this Law.

3. To explain the rights and obligations of compensation claimants to them in the settlement of their compensation claims.

4. To verify damage; to conduct negotiations, dialogues or conciliations in the settlement of compensation claims in accordance with this Law and other relevant regulations.

5. To take responsibility for the completeness and validity of compensation claim dossiers, and correctness of documents on settlement of compensation claims and compensation settlement decisions.

6. To make judgments or rulings on settlement of compensation claims, organize the execution of such judgments or rulings, or request agencies directly managing damage-causing official duty performers to execute them.

7. To send judgments or rulings on settlement of compensation claims to the state management agency in charge of state compensation and other related individuals and organizations specified in this Law and other relevant regulations.

8. To restore the rights and other lawful interests of damage sufferers or request competent agencies and organizations to do so.

9. To guide compensation claimants in carrying out the procedures for claiming compensation.

10. To settle complaints and denunciations related to the settlement of compensation claims in accordance with the laws on complaints and denunciations.

11. To participate in court proceedings in case compensation claimants initiate lawsuits to request the court to settle their compensation claims, except the case of settlement of compensation claims specified in Clause 1, Article 52 or Article 55 of this Law.

12. To determine the reimbursement liability of damage-causing official duty performers or request agencies directly managing to do so and collect reimbursement amounts in accordance with this Law.

13. To consider and discipline damage-causing official duty performers according to their competence or request competent agencies to do so.

14. To report on the settlement of compensation claims, determination of reimbursement liability and disciplining of damage-causing official duty performers to competent agencies and the state management agency in charge of state compensation.

15. In case courts with jurisdiction to settle criminal cases or administrative cases settle compensation claims, they shall determine acts of damage-causing official duty performers falling in one of the cases specified at Points b and c, Clause 2, Article 7 of this Law before performing the responsibilities prescribed in Clauses 2, 3, 4, 5, 6, 7, 8, 10, 11, 12, 13 and 14 of this Article.

Article 16. Acts prohibited in the settlement of compensation claims

1. Forging documents or papers or provide untruthful documents or evidence in compensation claim dossiers and in the settlement of compensation claims.

2. Acting in connivance among damage claimants, compensation settling persons and related persons for self-seeking purposes.

3. Abusing one’s positions and powers to illegally intervene in the settlement of compensation claims, determination of the reimbursement liability and consideration and disciplining of damage-causing official duty performers.

4. Failing to settle compensation claims or to issue compensation settlement decisions, or settling compensation claims in contravention of law.

5. Failing to determine the reimbursement liability or to consider and discipline damage-causing official duty performers.

6. Obstructing the settlement of compensation claims.

Chapter II

SCOPE OF STATE COMPENSATION LIABILITY

Article 17. Scope of state compensation liability in administrative management activities

The State is liable to compensate for damage in the following cases:

1. Illegal issuance of decisions on sanctioning of administrative violations;

2. Illegal application of deterrent measures and security for the handling of administrative violations;

3. Illegal application of one of the following measures to remedy consequences of administrative violations:

a/ Compelling the dismantlement of construction works or parts of construction works built without or at variance with construction permits;

b/ Compelling the removal of infringing elements on goods, goods packages, business means or objects;

c/ Compelling the recall of products or goods of inferior quality;

4. Illegal application of coercive measures to enforce decisions on sanctioning of administrative violations;

5. Illegal application of one of the following administrative handling measures:

a/ Education of persons in communes, wards or townships;

b/ Consignment of persons to reformatories;

c/ Consignment of persons to compulsory education establishments;

d/ Consignment of persons to compulsory detoxification establishments;

6. Failure to apply or application in contravention of the Law on Denunciations of the following measures to protect denouncers at their request:

a/ Staying, suspending or cancelling part or the whole of disciplining decisions or other decisions infringing upon lawful rights and interests of denouncers; restoring working positions, jobs, incomes and other lawful benefits from work for denouncers at their workplaces;

b/ Staying, suspending or cancelling part or the whole of administrative decisions or acts infringing upon lawful rights and interests of denouncers; restoring lawful rights and interests of denouncers which have been infringed upon at their places of residence;

c/ Applying measures to deter and handle acts infringing upon or threatening to infringe upon the life, health, property, honor, dignity or prestige of denouncers in accordance with law;

7. Taking of the prohibited acts of intentionally providing untruthful information without any correction and failing to provide information as specified in the Law on Access to Information;

8. Illegal grant or revocation of, or refusal to grant, enterprise registration certificates, business household registration certificates, investment registration certificates, licenses and papers which are valid like licenses granted by competent state agencies;

9. Illegal imposition of taxes, charges or fees; illegal collection of taxes, charges or fees; illegal collection of tax arrears or refunding taxes; illegal collection of land use levy;

10. Illegal application of the customs procedures;

11. Illegal allocation, lease or recovery of land, permission for land use purpose change; illegal compensation for, and support of, ground clearance and resettlement; illegal grant or revocation of certificates of land use rights and ownership of houses and other land-attached assets;

12. Illegal issuance of decisions on settlement of competition-related matters or cases;

13. Grant of protection titles in case of having a legal ground to believe that applicants have no right to file applications or legal grounds to believe that subject matters do not satisfy the protection conditions; refusal to grant protection titles for the reason that subject matters do not satisfy the protection conditions without any legal grounds; invalidation of protection titles without any legal grounds;

14. Illegal issuance of decisions to impose the discipline of forcible resignation on civil servants holding the post of general department director or equivalent or lower posts.

Article 18. Scope of state compensation liability in criminal proceedings

The State is liable to pay compensation for damage to the following persons:

1. Persons held in emergency cases without any grounds prescribed in the Criminal Procedure Code although having committed no illegal acts;

2. Persons arrested or held in custody and later released under decisions of competent agencies or persons in criminal proceedings that also cancel custody decisions or refuse to approve arrest warrants or decisions on prolongation of custody duration for the reason that the former have committed no illegal acts;

3. Temporarily detained persons, in favor of whom competent agencies or persons in criminal proceedings make judgments or decisions determining that no crime has been committed or their acts have constituted no crime or the time limit for case investigation has expired while it is impossible to prove their crime commission;

4. Persons who have completely served or are serving termed imprisonment or life imprisonment sentences, persons sentenced to death or persons whose death sentence has been executed, but in favor of whom competent agencies or persons in criminal proceedings make judgments or decisions determining that no crime has been committed or their acts do not constitute any crime;

5. Persons against whom criminal cases have been initiated, who have been prosecuted or tried, or against whom judgments have been executed without them held custody or temporarily detained, who are serving imprisonment sentences while competent agencies or persons in criminal proceedings make judgments or decisions determining that no crime has been committed or their acts do not constitute any crime or the time limit for case investigation has expired while it is impossible to prove their crime commission;

6. Persons against whom criminal cases have been initiated, who have been prosecuted or tried for many crimes in the same case or have served imprisonment sentences, but in favor of whom competent agencies or persons in criminal proceedings later determine that one or several of these crimes have not been committed by such persons and the general imprisonment penalty after aggregating penalties imposed for the remaining crimes is shorter than the period of temporary detention or served imprisonment sentences. These persons will be entitled to damage compensation for the period of temporary detention or served imprisonment sentences in excess of the general imprisonment penalty which they shall bear;

7. Persons against whom criminal cases have been initiated, who have been prosecuted or tried for many crimes in the same cases and sentenced to death but their death sentence is not yet executed, but in favor of whom competent agencies or persons in criminal proceedings later make judgments or decisions determine that the crime for which the death penalty is imposed has not been committed by these persons and the general imprisonment penalty after aggregating penalties imposed for the remaining crimes is shorter than the period of temporary detention. These persons will be entitled to damage compensation for the period of temporary detention in excess of the general imprisonment penalty which they shall bear;

8. Persons against whom many judgments have been made and the court has aggregated penalties in such judgments, but in favor of whom competent agencies or persons in criminal proceedings later determine that one or several of the judged crimes have not been committed by these persons and the general imprisonment penalty after aggregating penalties imposed for the remaining crimes is shorter than the period of temporary detention or served imprisonment sentences. These persons will be entitled to damage compensation for the period of temporary detention or served imprisonment sentences in excess of the general imprisonment penalty which they shall bear;

9. Commercial legal entities against which criminal cases have been initiated, which have been prosecuted or tried, or against which judgments have been executed, but in favor of which competent agencies or persons in criminal proceedings later determine that no crime has been committed or their acts do not constitute any crime or the time limit for case investigation has expired while it is impossible to prove their crime commission and that they have committed no illegal act;

10. Individuals and organizations that have their property damaged due to the seizure, holding in custody, distraint, confiscation, disposal thereof or have their accounts frozen, or other damage-suffering individuals and organizations involved in the cases specified in Clauses 1, 2, 3, 4, 5, 6, 7, 8 and 9 of this Article.

Article 19. Scope of state compensation liability in civil proceedings and administrative proceedings

The State is liable to compensate for damage in the following cases:

1. Application at one’s own will of provisional urgent measures in contravention of law;

2. Application of provisional urgent measures other than those requested by individuals and organizations;

3. Application of provisional urgent measures in excess of requests for application of provisional urgent measures of individuals and organizations;

4. Application of provisional urgent measures not within the time limit prescribed by law or failure to apply provisional urgent measures without any plausible reason;

5. Making of judgments or rulings which have become legally effective but are concluded as illegal by competent agencies, with the makers of these judgments or decisions have been disciplined or criminally handled;

6. Addition, removal, modification, exchange or destruction of documents or evidence or otherwise falsification of contents of cases or matters, leading to the illegal making of judgments or rulings.

Article 20. Scope of state compensation liability in the execution of criminal judgments

The State is liable to compensate for damage in the following cases:

1. Execution of the death sentence against persons falling in the cases exempt from execution of the death sentence specified in the Penal Code;

2. Detention of persons sentenced to imprisonment beyond the time limit for judgment execution stated in the court’s judgments or rulings;

3. Failure to execute one of the following rulings:

a/ Postponement of execution of the court’s judgments for persons sentenced to imprisonment;

b/ Temporary suspension of execution of the court’s judgments for persons who are serving their imprisonment sentences;

c/ Commutation of imprisonment terms sentenced by the court for persons who are serving their imprisonment sentences;

d/ Premature release on conditions prescribed in the courts of persons sentenced to imprisonment;

dd/ Special amnesty granted by the President for persons sentenced to imprisonment and eligible for special amnesty;

e/ General amnesty granted by the National Assembly for convicts eligible for general amnesty.

Article 21. Scope of state compensation liability in the execution of civil judgment judgments

The State is liable to compensate for damage in the following cases:

1. Illegal issuance of, or illegal refusal to issue, one of the following decisions:

a/ Judgment execution;

b/ Cancellation, revocation, modification or supplementation of decisions on judgment execution;

c/ Application of measures to secure judgment execution;

d/ Judgment enforcement;

dd/ Postponement of judgment execution;

e/ Suspension or termination of judgment execution;

g/ Resumption of judgment execution;

2. Illegal organization of, or failure to organize, the execution of one of the decisions specified in Clause 1 of this Article.

Chapter III

COMPENSABLE DAMAGE

Article 22. Determination of damage

1. Compensable damage is damage actually caused, interest amounts specified in Articles 23, 24, 25, 26 and 27 of this Law and other expenses specified in Article 28 of this Law.

2. The value of compensable damage shall be calculated at the time of acceptance of compensation claim dossiers prescribed in Article 43 of this Law, or when the first-instance court determines the damage value in the cases specified in Clause 1, Article 52 and Article 55 of this Law. In case a compensation claimant initiates a lawsuit to request the court to settle his/her/its compensation claim under Clause 2, Article 52 of this Law, the damage value shall still be calculated at the time of acceptance of the previous compensation claim dossier.

3. The period serving as a basis for determining a compensable damage specified in Clause 3, 4 or 5, Article 23; Article 24; Clause 1, 2 or 3, Article 25; Clause 1, 2, 3 or Point a, Clause 4, Article 26; Clause 3, Article 27 of this Law shall be counted from the date the actual damage occurs to the date it ends.

The Government shall detail this Clause.

Article 23. Damage caused by property infringement

1. In case the property has been publicly sold or lost, the damage shall be determined on the basis of the market price of property of the same type or property with the same properties, technical standards, utilities and wear-out on the market at the time prescribed in Clause 2, Article 22 of this Law. The time of determining the actual state of property to serve as a basis for calculation of compensation is the time the damage occurs.

2. In case the property is out of order, the damage shall be determined as expenses for its repair and restoration, calculated according to market prices at the time prescribed in Clause 2, Article 22 of this Law. If the property is irreparably or irrestorably out of order, the damage shall be determined under Clause 1 of this Article.

3. If the property has been left unused or unexploited, the damage caused by its non-use or non-exploitation shall be determined as lost actual income. For property on lease on the market, lost actual income shall be determined to be commensurate to the monthly rent rate of property of the same type or property with the same technical standards, properties, utilities and quality at the time prescribed in Clause 2, Article 22 of this Law. For property not on lease on the market, lost actual income shall be determined as average income of the latest 3 months brought about by the damaged property under normal conditions before the time the damage occurs.

4. Money amounts already remitted into the state budget under decisions of competent state agencies, confiscated or kept for judgment execution, or money amounts deposited as security under decisions of competent agencies shall be returned with interests to damage sufferers.

In case such money amounts are interest-bearing loans, their interests shall be calculated as lawful interest amounts in accordance with the Civil Code.

In case such money amounts are interest-free loans, their interests shall be calculated at the interest rate incurred due to late payment in case of no agreement as prescribed in the Civil Code at the time prescribed in Clause 2, Article 22 of this Law.

5. In case a damage sufferer cannot conduct civil or economic transactions which have become effective and has paid a fine for breaching his/her obligations in such a civil or economic transaction, the damage shall be determined as a fine amount calculated at the agreed fine level plus interest of such fine.

In case such fine amount is an interest-bearing loan, the interest shall be calculated as a lawful loan interest in accordance with the Civil Code.

In case such fine amount is not an interest-bearing loan, the interest shall be calculated at the interest rate incurred due to late payment in case of no agreement as prescribed in the Civil Code at the time prescribed in Clause 2, Article 22 of this Law.

6. In case damage is caused by acts taken beyond requirements of an emergency circumstance, the compensable damage is the portion of damage caused by the excessive act.

7. The Government shall detail this Article.

Article 24. Damage due to loss or reduction of actual income

1. Lost or reduced actual income of a damage sufferer being an individual shall be determined as follows:

a/ Stable income from his/her salary or wage determined according to his/her salary or wage level during the period of loss or reduction of such salary or wage;

b/ Unstable income from his/her salary or wage determined on the basis of the average salary or wage level of 3 consecutive months prior to the time the damage occurs during the period of loss or reduction of such salary or wage;

c/ Unstable seasonal income determined as average income of local laborers of the same type during the period of loss or reduction of actual income. If the average income of local laborers of the same type cannot be determined, the compensable lost or reduced actual income shall be one day’s minimum wage applicable to the region where the damage sufferer resides for one day’s damage.

One day’s regional minimum wage is one month’s state-prescribed regional minimum wage divided by 26 days.

2. Lost or reduced actual income of a damage sufferer being an organization includes income amounts specified by the law on enterprise income tax.

Compensable income shall be determined on the basis of average income of 2 consecutive years prior to the time of damage occurrence. The determination of average income shall be based on financial statements of the organization in accordance with law. In case the organization has been established for only under 2 full years by the time of damage occurrence, the compensable income shall be determined on the basis of average income earned during the period of its actual operation stated in its financial statements in accordance with law.

Article 25. Material loss due to the death of damage sufferers

1. Expenses for medical examination and treatment as prescribed in the law on medical examination and treatment for the damage sufferer before his/her death.

2. Expenses for improving the health of the damage sufferer before his/her death which shall be determined as equal to one day’s regional minimum wage in the region where the medical examination and treatment establishment is located for one of the days of medical examination and treatment stated in the patient’s medical record.

3. Expenses for the caretaker of the damage sufferer during the period of medical examination and treatment before his/her death which shall be determined as equal to one day’s regional minimum wage in the region where the medical examination and treatment establishment is located for one day’s care for the damage sufferer.

4. Costs of the funeral of the dead damage sufferer which shall be determined according to the funeral allowance level prescribed in the law on social insurance.

5. Alimonies for persons to whom the damage sufferer is obliged to provide which shall be determined as equal to one month’s regional minimum wage in the region where such persons reside for every month of performance of the alimony obligation, unless they are otherwise prescribed by law or determined under legally effective judgments or decisions of competent state agencies.

Article 26. Material loss due to health damage

1. Expenses for medical examination and treatment as prescribed in the law on medical examination and treatment for the damage sufferer.

2. Expenses for improving the health of the damage sufferer which shall be determined as equal to one day’s regional minimum wage in the region where the medical examination and treatment establishment is located for each of the days of medical examination and treatment stated in the patient’s medical record.

3. Expenses for the caretaker of the damage sufferer during the period of medical examination and treatment which shall be determined as equal to one day’s regional minimum wage in the region where the medical examination and treatment establishment is located for every day’s care for the damage sufferer.

4. In case the damage sufferer loses his/her working capacity and needs a regular caretaker, the compensable damage must include:

a/ Expenses for the caretaker which shall be determined as equal to one day’s regional minimum wage in the region where the damage sufferer resides for every day’s care for him/her;

b/ Alimonies for persons to whom the damage sufferer is obliged to provide which shall be determined as equal to one month’s regional minimum wage in the region where these persons reside for every month of performance of the alimony obligation, unless they are otherwise prescribed by law or determined under legally effective judgments or decisions of competent state agencies.

Article 27. Damage due to mental suffering

1. Damage due to mental suffering of a person subject to the administrative measure of education in a commune, ward or township shall be determined as equal to half a day’s state-prescribed basic wage (below referred to as daily basic wage) for every day’s application of such measure.

2. Damage due to mental suffering of a person held in custody according to administrative procedures or consigned into a reformatory, compulsory education establishment or compulsory detoxification establishment shall be determined as equal to 2 days’ basic wage for every day’s application of such measure.

3. Damage due to mental suffering in case of initiation of a criminal case against, prosecution or trial of, execution of a criminal judgment or application of a deterrent measure against the damage sufferer in criminal proceedings shall be determined as follows:

a/ Damage due to mental suffering in case the damage sufferer is held in case of emergency shall be determined as equal to 2 days’ basic wage;

b/ Damage due to mental suffering in case the damage sufferer is arrested, held in custody or detained or serving an imprisonment sentence shall be determined as equal to 5 days’ basic wage for every day of being under arrest, held in custody, detained or serving an imprisonment sentence;

c/ Damage due to mental suffering in case the damage sufferer is neither arrested nor held in custody nor detained or serving a non-imprisonment sentence shall be determined as equal to 2 days’ basic wage for every day of being neither under arrest nor held in custody nor detained or serving a non-imprisonment sentence, except the case specified at Point d of this Clause;

d/ Damage due to mental suffering in case the damage sufferer is serving a non-custodial reform sentence or suspended imprisonment sentence shall be determined as equal to 3 days’ basic wage for every day of serving the sentence;

dd/ Damage due to mental suffering in case the damage sufferer has completely served his/her sentence under a court’s judgment or ruling but later a competent agency or person in criminal proceedings makes a judgment or ruling determining that he/she is entitled to compensation in criminal proceedings shall be determined as equal to 2 days’ basic wage for every day of absence of the judgment or ruling determining that the damage sufferer is entitled to compensation in criminal proceedings.

4. Damage due to mental suffering in case the damage sufferer dies shall be determined as equal to 360 months’ basic wage. In case the damage sufferer dies, compensation for damage due to his/her mental suffering shall not be paid under Clauses 1, 2, 3 and 5 of this Article.

5. Damage due to mental suffering in case the health of the damage sufferer is also damaged shall be determined on the basis of his/her health loss but must not exceed 50 months’ basic wage.

6. Damage due to mental suffering in case a civil servant is illegally forced to resign as a disciplinary measure shall be determined as equal to one day’s basic wage for every day he/she resigns.

7. One day’s basic wage is equal to one month’s basic wage divided by 22 days.

Article 28. Other compensable expenses

1. Other compensable expenses include:

a/ Expenses for rent of personal accommodations, travel, printing of documents, sending of written complaints or denunciations; hire of defense counsels or lawyers to defend the lawful rights and interests of damage sufferers;

b/ Expenses for travel of relatives of persons held in custody, detained or serving imprisonment sentences in criminal proceedings to visit such persons.

Relatives of persons held in custody, detained or serving imprisonment sentences in criminal proceedings to visit such persons are defined by the law on holding in custody and temporary detention of persons and the law on execution of criminal judgments.

2. Expenses specified at Point a, Clause 1 of this Article shall be determined as follows:

a/ Expenses for rent of personal accommodations, travel and printing of documents shall be paid according to lawful invoices and documents which state their value determined at the time prescribed in Clause 2, Article 22 of this Law but must not exceed the level prescribed in the Ministry of Finance’s regulations on working mission allowances for cadres and civil servants or regulations on expenses for organization of conferences of state agencies.

In case the compensation claimant cannot produce lawful invoices and documents on the expenses specified at this Point, compensable expenses must not exceed 6 months’ basic wage at the time prescribed in Clause 2, Article 22 of this Law for every year during the period from the time of filing the complaint or denunciation or participation in proceedings to the time of issuance of the effective compensation settlement document by a competent agency;

b/ Expenses for sending written complaints or denunciations to competent state agencies or persons for settlement shall be calculated according to receipts of postal charge which state their value determined at the time prescribed in Clause 2, Article 22 of this Law.

In case the compensation claimant cannot produce receipts of postal charge to provide the expenses specified at this Point, compensable expenses must not exceed 1 month’s basic wage at the time prescribed in Clause 2, Article 22 of this Law for every year during the period from the time of filing the complaint or denunciation or participation in proceedings to the time of issuance of the effective compensation settlement document of the competent agency;

c/ Expenses for hire of defense counsels or lawyers to defend the lawful rights and interests of the damage sufferer shall be paid under actual contracts but must not exceed the remuneration level prescribed in the Government for lawyers participating in proceedings at the request of proceedings-conducting bodies and paid only to one defense counsel or one lawyer defending the lawful rights and interests of the damage sufferer at a given time.

3. Expenses specified at Point b, Clause 1 of this Article shall be determined according to the actual number of visitors and visits but must not exceed the maximum number of visitors and visits prescribed in the law on holding in custody and temporary detention of persons and the law on execution of criminal judgments. In case it is impossible to prove the actual number of visitors and visits, these expenses shall be determined according to the maximum number of visitors and visits prescribed in the law on holding in custody and temporary detention of persons and the law on execution of criminal judgments.

4. The period of time used as a basis for determining compensable expenses specified in this Article shall be counted from the date of occurrence of actual damage to the date of issuance of an effective compensation settlement document of the competent agency.

5. The Government shall detail this Article.

Article 29. Restoration of other lawful rights and interests of damage sufferers

1. In addition to the compensable damage specified in Articles 23, 24, 25, 26, 27 and 28 of this Law, damage sufferers being individuals may also have the following lawful rights and interests restored:

a/ Official positions (if any), jobs and entitlements as prescribed by relevant laws;

b/ The right to study;

c/ The membership of political organizations, socio-political organizations, socio-politico-professional organizations, social organizations and socio-professional organizations.

2. In addition to the compensable damage specified in Articles 23, 24, 25, 26, 27 and 28 of this Law, damage sufferers being organizations may also have other lawful rights and interests restored in accordance with law.

3. The order and procedures for restoration of other lawful rights and interests specified in Clauses 1 and 2 of this Article must comply with law as well as regulations and charters of related organizations.

Article 30. Return of property

1. Property illegally seized, held in custody, distrained or confiscated shall be returned to their owners as soon as seizure, custody, distraint or confiscation decisions are cancelled.

2. The return of property illegally held in custody or confiscated in the administrative management must comply with the law on handling of administrative violations.

3. The return of illegally distrained property in the execution of civil judgments must comply with the law on execution of civil judgments.

4. The return of illegally seized property in proceedings must comply with the procedure laws and other relevant regulations.

Article 31. Restoration of honor

1. Damage sufferers in criminal proceedings, civil servants illegally forced to resign as a disciplinary form, and persons against whom the administrative handling measure of consignment into reformatories, compulsory education establishments or compulsory detoxification establishments is illegally applied shall have their honor restored.

2. Agencies directly managing damage-causing official duty performers shall take the initiative in restoring the honor of damage sufferers in the cases specified in Clause 1 of this Article. The restoration of honor must comply with Section 3, Chapter V of this Law.

Article 32. Damage for which the State does not compensate

1. The State does not compensate for the following damage:

a/ Damage caused entirely by damage sufferers who are at fault;

b/ Damage that occurs objectively, unforeseeably and irremediably even though official duty performers have applied all necessary measures within their capability;

c/ Damage that occurs in circumstances where official duty performers wish to ward off a real and direct threat to public interests, lawful rights and interests of damage sufferers or other persons and there is no other option than to take acts causing a damage smaller than the damage which needs to be prevented, except the case specified in Clause 6, Article 23 of this Law.

2. In addition to the damage specified in Clause 1 of this Article, the State does not compensate for the following damage in criminal proceedings:

a/ Damage that occurs in circumstances where persons examined for penal liability are exempt from penal liability as specified by the Penal Code;

b/ Damage caused by damage sufferers who make false statements or provide untruthful documents or evidence in order to admit guilt for crimes committed by others or to conceal crimes;

c/ Damage caused by illegal acts showing clear signs of crime constituents committed by persons against whom criminal cases have been initiated or who have been prosecuted in criminal cases initiated at the request of damage sufferers who later withdraw their requests for initiation of criminal cases, leading to the termination of such cases;

d/ Damage that occurs due to the initiation of criminal cases against, prosecution or trial of, persons in accordance with legal documents effective at the time of initiation of criminal cases, prosecution or trial which are replaced by new legal documents that exempt these persons from penal liability at the time of making judgments or rulings against them and take effective after the date of initiation of criminal cases, prosecution or trial.

3. In addition to the damage specified in Clause 1 of this Article, in civil proceedings or administrative proceedings, the State does not compensate for damage caused by the application of provisional urgent measures by official duty performers upon request to persons subject to such measures or third parties. Persons who groundlessly request the court to apply provisional urgent measures, thereby causing damage to persons subject to such measures or third parties, shall pay compensations to damage sufferers in accordance with the law on civil procedure.

4. In addition to the damage specified in Clause 1 of this Article, in the execution of civil judgments, the State does not compensate for damage caused by the application of measures to secure the judgment execution by official duty performers at the request of involved parties. Persons who groundlessly request executors to apply security measures, thereby causing damage to persons subject to such measures or third parties, shall pay compensation to damage sufferers in accordance with the law on execution of civil judgments.

Chapter IV

COMPENSATION-SETTLING AGENCIES

Article 33. Compensation-settling agencies in the administrative management

1. Compensation-settling agencies at the central level include:

a/ Ministries, ministerial-level agencies and government-attached agencies which shall act as compensation-settling agencies in case damage-causing official duty performers are under their direct management, except the case specified at Point b of this Clause;

b/ General departments, departments and other units of the ministries, ministerial agencies or government-attached agencies which have legal entity status and own accounts and shall act as compensation-settling agencies in case damage-causing official duty performers are under their direct management.

2. Compensation-settling agencies in provinces or centrally run cities include:

a/ Provincial-level People’s Committees which shall act as compensation-settling agencies in case damage-causing official duty performers are under their direct management, except the case specified at Point b of this Clause;

b/ Professional agencies or agencies or units of provincial-level People’s Committees which have legal entity status and own accounts and shall act as compensation-settling agencies in case damage-causing official duty performers are under their direct management.

3. District-level People’s Committees shall act as compensation-settling agencies in case damage-causing official duty performers are under their direct management.

4. Commune-level People’s Committees shall act as compensation-settling agencies in case damage-causing official duty performers are under their direct management.

5. Agencies competent to provide information in accordance with the Law on Access to Information.

6. Agencies competent to apply necessary measures to protect denouncers in accordance with the Law on Denunciations.

7. Agencies having issued decisions to force civil servants to resign as a disciplinary form.

8. Courts with jurisdiction to settle cases in accordance with the criminal procedure, civil procedure or administrative procedure law; courts with jurisdiction to apply administrative handling measures in accordance with the Law on Handling of Administrative Violations.

Article 34. Settlement of compensation in criminal proceedings by investigative bodies or bodies tasked to conduct a number of investigating activities

Investigative bodies or bodies tasked to conduct a number of investigating activities shall settle compensation in the following cases:

1. They have issued warrants on holding persons in emergency cases without any grounds prescribed in the Criminal Procedure Code and persons subject to such warrants have committed no illegal acts; they have issued arrest warrants but later competent agencies or persons decide to release arrestees or cancel custody decisions or refuse to approve such arrest warrants or decisions on extension of custody duration for the reason that arrestees have committed no illegal acts;

2. They have issued decisions on initiation of criminal cases against the accused but procuracies refuse to approve such decisions for the reason that no crime is committed or acts of the accused do not constitute a crime;

3. Procuracies decide to return case files for additional investigation or investigative agencies make additional investigation conclusions or new investigation conclusions to request prosecution but procuracies issue decisions to terminate cases against the accused for the reason that no crime is committed or their acts do not constitute a crime.

Article 35. Settlement of compensation by procuracies in criminal proceedings

Procuracies shall settle compensation in the following cases:

1. They have approved arrest warrants or decisions on extension of custody duration of investigative bodies or bodies tasked to conduct a number of investigating activities but arrestees or persons held in custody have committed no illegal acts;

2. They have approved decisions on initiation of criminal cases against the accused or detention warrants of investigative bodies or bodies tasked to conduct a number of investigating activities or have issued decisions on initiation of criminal cases against the accused, detention warrants or decisions on extension of detention duration but later competent agencies or persons issue decisions determining that no crime is committed or acts of the accused or detainees do not institute a crime or the time limit for case investigation has expired while the accused cannot be proven having committed a crime, except the case specified in Clause 3, Article 34 of this Law; they have decided to return case files for additional investigation and later investigative bodies base themselves on additional investigation results to decide to terminate investigation against the accused for the reason that no crime is committed or acts of the accused do not constitute a crime or the time limit for case investigation has expired while the accused cannot be proven to have committed a crime;

3. They have issued decisions on prosecution of the accused but later first-instance courts declare the accused not guilty for the reason that no crime is committed or acts of the accused do not constitute a crime and first-instance judgments are legally effective;

4. First-instance courts decide to return case files for additional investigation but later competent agencies or persons issue decisions to terminate investigation or criminal cases for the reason that no crime is committed or acts of the accused do not constitute a crime or the time limit for case investigation has expired while the accused cannot be proven having committed a crime;

5. First-instance courts decide to return case files for additional investigation but later declare defendants not guilty for the reason that no crime is committed or acts of defendants do not constitute a crime and their first-instance judgments are legally effective;

6. Appellate courts uphold judgments or rulings of first-instance courts determining that defendants are not guilty the reason that no crime is committed or acts of such defendants do not constitute a crime;

7. Appellate courts uphold judgments or rulings of first-instance courts determining that defendants are not guilty the reason that no crime is committed or acts of such defendants do not constitute a crime, and later courts that conduct trial according to the cassation or reopening procedures also uphold judgments or rulings of first-instance courts determining that defendants are not guilty the same reason.

Article 36. Settlement of compensation by courts in criminal proceedings

1. First-instance courts shall settle compensation in the following cases:

a/ They have declared defendants guilty but appellate courts quash first-instance judgments and declare such defendants not guilty and terminate criminal cases for the reason that no crime is committed or acts of such defendants do not constitute a crime;

b/ They have declared defendants guilty but appellate courts quash first-instance judgments for additional investigation and later the investigation or criminal cases is/are terminated for the accused for the reason that no crime is committed or acts of the accused do not constitute a crime or the time limit for case investigation has expired while the accused cannot be proven having committed a crime;

c/ They have declared defendants guilty but appellate courts quash first-instance judgments for retrial and later defendants are declared not guilty for the reason that no crime is committed or acts of such defendants do not constitute a crime;

d/ They have declared defendants guilty and their judgments have become legally effective but courts with jurisdiction to conduct trial according to the cassation or reopening procedures quash first-instance judgments and terminate criminal cases for the reason that no crime is committed or acts of such defendants do not constitute a crime;

dd/ They have declared defendants guilty and their judgments have become legally effective but courts with jurisdiction to conduct trial according to the cassation or reopening procedures quash first-instance judgments for reinvestigation and later the investigation or criminal cases is/are terminated for the accused for the reason that no crime is committed or acts of the accused do not constitute a crime or the time limit for case investigation has expired while the accused cannot be proven to have committed a crime;

e/ They have declared defendants guilty and their judgments have become legally effective but courts with jurisdiction to conduct trial according to the cassation or reopening procedures quash first-instance judgments for retrial and later such defendants are declared not guilty for the reason that no crime is committed or acts of such defendants do not constitute a crime.

2. Appellate courts shall settle compensation in the following cases:

a/ They have declared defendants guilty but courts with jurisdiction to conduct trial according to the cassation or reopening procedures quash appellate judgments and terminate criminal cases for the reason that no crime is committed or acts of such defendants do not constitute a crime;

b/ They have declared defendants guilty but courts with jurisdiction to conduct trial according to the cassation or reopening procedures quash appellate judgments for reinvestigation and later the investigation or criminal cases is/are terminated for the accused for the reason that no crime is committed or acts of the accused do not constitute a crime or the time limit for case investigation has expired while the accused cannot be proven to have committed a crime;

c/ They have declared defendants guilty but courts with jurisdiction to conduct trial according to the cassation or reopening procedures quash appellate judgments for retrial and later defendants are declared not guilty for the reason that no crime is committed or acts of such defendants do not constitute a crime.

3. Superior people’s courts and the Central Military Court with the jurisdiction to conduct trial according to the cassation or reopening procedures shall settle compensation in the following cases:

a/ The Judicial Council of the Supreme People’s Court quashes their cassation or reopening rulings that defendants are guilty and terminates criminal cases for the reason that no crime is committed or acts of such defendants do not constitute a crime;

b/ The Judicial Council of the Supreme People’s Court quashes their cassation or reopening rulings that defendants are guilty for reinvestigation but later the investigation or criminal cases is/are terminated for the accused for the reason that no crime is committed or acts of the accused do not constitute a crime or the time limit for case investigation has expired while the accused cannot be proven to have committed a crime;

c/ The Judicial Council of the Supreme People’s Court quashes their cassation or reopening rulings that defendants are guilty for retrial but later such defendants are declared not guilty for the reason that no crime is committed or acts of such defendants do not constitute a crime.

4. The Supreme People’s Court shall settle compensation in the following cases:

a/ Its Judicial Council quashes its cassation or reopening rulings that defendants are guilty or quashes legally effective judgments or rulings of lower-level courts and at the same time rules on contents of criminal cases and declares such defendants not guilty for the reason that no crime is committed or acts of such defendants do not constitute a crime;

b/ Its Judicial Council quashes its cassation or reopening rulings that defendants are guilty or quashes legally effective judgments or rulings of lower-level courts for reinvestigation but later the investigation or criminal cases is/are terminated for the accused for the reason that no crime is committed or acts of the accused do not constitute a crime or the time limit for case investigation has expired while the accused cannot be proven to have committed a crime;

c/ Its Judicial Council quashes its cassation or reopening rulings that defendants are guilty or quashes legally effective judgments or rulings of lower-level courts for retrial but later such defendants are declared not guilty for the reason that no crime is committed or acts of such defendants do not constitute a crime.

Article 37. Settlement of compensation by courts in civil proceedings and administrative proceedings

1. Courts with jurisdiction to decide on application of provisional urgent measures specified in Clauses 1, 2, 3 and 4, Article 19 of this Law shall act as compensation-settling agencies.

2. First-instance courts shall settle compensation in case they make legally effective first-instance judgments or rulings specified in Clauses 5 and 6, Article 19 of this Law which are later quashed according to the cassation or reopening procedures.

3. Appellate courts shall settle compensation in case they make legally effective appellate judgments or rulings specified in Clauses 5 and 6, Article 19 of this Law which are later quashed according to the cassation or reopening procedures.

4. Courts with jurisdiction to conduct trial according to the cassation or reopening procedures shall settle compensation in case they make legally effective cassation or reopening judgments or rulings specified in Clauses 5 and 6, Article 19 of this Law which are later quashed according to the cassation or reopening procedures.

5. Courts that have made legally effective judgments or rulings specified in Clauses 5 and 6, Article 19 of this Law shall settle compensation in case the Judicial Council of the Supreme People’s Court quashes such judgments or rulings according to special procedures, except the case specified in Clause 6 of this Article.

6. The Supreme People’s Court shall settle compensation in case its Judicial Council quashes its rulings or quashes legally effective judgments or rulings of lower-level courts specified in Clauses 5 and 6, Article 19 of this Law according to special procedures and determine the liability of the Supreme People’s Court to compensate for damage.

7. Courts with jurisdiction to settle cases in accordance with the Criminal Procedure Code or Civil Procedure Code shall act as compensation-settling agencies.

Article 38. Compensation-settling agencies in the execution of criminal judgments

1. Criminal judgment execution agencies at all levels in the People’s Public Security as specified by the Law on Execution of Criminal Judgments.

2. Criminal judgment execution agencies at all levels in the People’s Army as specified by the Law on Execution of Criminal Judgments.

3. Agencies assigned with a number of criminal judgment execution tasks as specified by the Law on Execution of Criminal Judgments.

4. Courts with jurisdiction to settle cases as specified by the Criminal Procedure Code and Civil Procedure Code.

Article 39. Compensation-settling agencies in the execution of civil judgments

1. Provincial-level civil judgment execution departments and district-level civil judgment execution sub-departments.

2. Judgment execution agencies at military-zone and equivalent levels.

3. Courts with jurisdiction to settle cases as specified by the Criminal Procedure Code and Civil Procedure Code.

Article 40. Identification of compensation-settling agencies in some specific cases

1. In case a compensation-settling agency is the agency directly managing the damage-causing official duty performer, the identification of the compensation-settling agency in some specific cases is prescribed below:

a/ In case the compensation-settling agency is divided, split up, merged, consolidated or dissolved, the agency taking over the functions and tasks of the former agency shall act as the compensation-settling agency. In case no agency taking over the functions and tasks of the dissolved agency, the agency that has issued the dissolution decision shall act as the compensation-settling agency. In case the agency that has issued the dissolution decision is the National Assembly, National Assembly Standing Committee, Government or Prime Minister, the state management agency in charge of state compensation may designate a compensation-settling agency;

b/ In case many official duty performers from many agencies jointly cause damage, the agency assuming the prime responsibility for duty performance shall act as the compensation-settling agency. In case no agreement on a compensation-settling agency is reached, the state management agency in charge of state compensation may designate a compensation-settling agency;

c/ In case by the time of acceptance of a compensation claim, the damage-causing official duty performer no longer works in the agency managing him/her at the time the damage is caused, the compensation-settling agency is the agency managing such official duty performer at the time the damage is caused;

d/ In case of authorization or entrustment to perform the official duty, the authorizing or entrusting agency shall act as the compensation-settling agency. In case the authorized or entrusted agency being a state agency fails to properly perform the authorized or entrusted duty, thus causing damage, it shall act as the compensation-settling agency.

2. In case of settlement of a compensation claim in criminal proceedings or administrative proceedings at court, the court that has accepted a criminal case or an administrative case for settlement shall act as the compensation-settling agency.

3. In case a compensation claimant concurrently requests the agency directly managing the damage-causing official duty performer and the court with jurisdiction to settle his/her compensation claim, the agency that has first accepted such compensation claim shall act as the compensation-settling agency.

Chapter V

PROCEDURES FOR SETTLING COMPENSATION CLAIMS

Section 1

SETTLEMENT OF COMPENSATION CLAIMS AT AGENCIES DIRECTLY MANAGING DAMAGE-CAUSING OFFICIAL DUTY PERFORMERS

Article 41. Compensation claim dossiers

1. In case a damage sufferer personally claims compensation, a compensation claim dossier (below referred to as dossier) must comprise:

a/ A written claim for compensation;

b/ Document for use as a basis for making the compensation claim, unless the damage sufferer receives no such document or cannot obtain such document;

c/ Papers proving the personal identification of the damage sufferer;

d/ Documents and evidence related to the compensation claim (if any).

2. In case the compensation claimant is an heir (in case of many heirs, they shall appoint a representative) or the representative of the damage sufferer, in addition to the documents specified at Points a, b and d, Clause 1 of this Article, a compensation claim dossier must also have the following papers:

a/ Papers proving the personal identification of the heir or representative of the damage sufferer;

b/ A lawful power of attorney in case of authorization representation;

c/ In case the damage sufferer dies with a testament, the compensation claimant shall produce such testament. If there is no testament, a lawful document on inheritance right is required.

3. A written claim for compensation must contain the following principal details:

a/ Full name, address and contact telephone number (if any) of the compensation claimant;

b/ Date (day, month and year) of making;

c/ Damage-causing act of the official duty performer;

d/ The cause-and-effect relationship between the actual damage and the damage-causing act of the official duty performer;

dd/ Damage, method of calculation and level of claimed compensation;

e/ Request for advanced fund for payment of compensation (if any);

g/ Request for the compensation-settling agency’s collection of documents for use as a basis for making the compensation claim, clearly stating titles of such documents and addresses for collecting such documents in case the compensation claimant is unable to collect such documents;

h/ Request for honor restoration (if any);

i/ Request for restoration of other lawful rights and interests (if any).

In case the damage sufferer requests only honor restoration, the written compensation claim must have the contents specified at Points a, b, c, d, g and h of this Clause.

4. A compensation claimant shall submit one dossier set directly or send it by post to the compensation-settling agency.

In case the compensation-settling agency is not yet immediately identified, the compensation claimant shall submit the dossier to the provincial-level Justice Department of the locality where the damage sufferer resides or is based. Within 5 working days, the provincial-level Justice Department shall identify the compensation-settling agency, forward the dossier to it, and notify such in writing to the compensation claimant.

5. In case a compensation claimant submits his/her/its dossier directly, the papers, documents and evidence specified at Points b, c and d, Clause 1 and in Clause 2 of this Article may be copies but must be enclosed with their originals for comparison. In case the compensation claimant sends his/her/its dossier by post, the papers, documents and evidence specified at Points b, c and d, Clause 1 and in Clause 2 of this Article must be certified copies in accordance with the law on certification.

Article 42. Procedures for receiving and processing dossiers

1. A compensation-settling agency shall receive a dossier, record it in a dossier receipt book and issue a dossier receipt to the compensation claimant in case the dossier is directly submitted. In case the dossier is sent by post, within 2 working days after receiving it, the compensation-settling agency shall notify in writing the compensation claimant of the dossier receipt.

2. Within 5 working days after receiving a dossier, the head of the compensation-settling agency shall:

a/ Request the compensation claimant to supplement the dossier in case the dossier is incomplete under Clauses 1 and 2, Article 41 of this Law;

b/ Request the competent state agency or person to provide the document for use as a basis for making the compensation claim in case the compensation claimant requests the compensation-settling agency to collect it or clarify its unclear contents.

3. Within 5 working days after receiving a request of the head of the compensation-settling agency mentioned in Clause 2 of this Article, the compensation claimant shall supplement his/her/its dossier while the competent state agency or person shall provide the document for use as a basis for making the compensation claim or clarify its unclear contents. The period when a force majeure event or an objective obstacle exists as specified by the Civil Code shall not be included in the time limit prescribed in this Clause.

Article 43. Acceptance of dossiers and appointment of persons to settle compensation

1. Within 2 working days after receiving a valid dossier specified in Article 41 of this Law, a compensation-settling agency shall accept it and record it in a dossier acceptance book, except the case specified in Clause 2 of this Article.

2. A compensation-settling agency shall refuse to accept a dossier if:

a/ The compensation claim falls beyond its settling competence;

b/ The statute of limitations for making compensation claims has expired;

c/ The compensation claim falls outside the scope of state compensation liability prescribed in Chapter II of this Law;

d/ The compensation claimant is not a person eligible to claim compensation specified in Article 5 of this Law;

dd/ The dossier is incomplete under Article 41 of this Law and the compensation claimant fails to supplement it within the time limit prescribed in Clause 3, Article 42 of this Law;

e/ The compensation claim has been made under Point a, Clause 1, Article 52 of this Law and accepted by a court with jurisdiction according to the civil procedure;

g/ The compensation claim has been accepted by a court with jurisdiction under Clause 1, Article 55 of this Law;

h/ The compensation claim has been settled with a legally effective judgment or ruling.

3. The appointment of a person to settle compensation shall be made as follows:

a/ Within 2 working days after accepting a dossier, a compensation-settling agency shall appoint a person to settle compensation;

b/ A person to settle compensation must have professional experience in the sector or field in which the compensation claim is made; must neither have rights and interests related to the case or matter nor be a relative of the damage-causing official duty performer or damage sufferer as specified by the Civil Code.

4. The acceptance of, or refusal to accept, dossiers and appointment of persons to settle compensation shall be notified in writing to compensation claimants and the state management agency in charge of state compensation. In case of refusal to accept a dossier, a compensation-settling agency shall return it and clearly state the reason for refusal. For the case specified at Point a, Clause 2 of this Article, a compensation-settling agency shall guide the compensation claimant to submit the dossier to another competent agency for settlement.

In case a compensation-settling agency accepts a dossier before having a ground specified in Clause 2 of this Article, it shall stop the compensation settlement and remove the compensation case from the acceptance book and return the dossier to the compensation claimant.

5. In case a damage sufferer requests only honor restoration, no decision on compensation settlement shall be issued under this Section. The honor restoration shall be carried out under Section 3 of this Chapter.

Article 44. Advanced funds for compensation

1. At the request of a compensation claimant as specified at Point e, Clause 3, Article 41 of this Law, a compensation-settling agency shall advance a fund for payment of compensation for the following types of damage:

a/ Damage due to mental suffering specified in Clauses 1, 2, 3, 4 and 6, Article 27 of this Law;

b/ Other damage which can be immediately calculated without verification.

2. The order and procedures for advancing a fund for compensation is prescribed as follows:

a/ Right after accepting a dossier, a person settling compensation shall determine the value of the damage specified in Clause 1 of this Article and propose the head of the compensation-settling agency to advance a fund for compensation and propose a compensation amount to be advanced to the compensation claimant;

b/ Within 5 working days after receiving a proposal on advanced fund, if its administrative management cost estimate assigned by a competent authority permits, the compensation-settling agency shall advance a fund for payment of compensation to the compensation claimant.

Based on the advanced fund for payment of compensation to the compensation claimant, the compensation-settling agency shall request a competent finance agency to additionally allocate a fund equal to the advanced fund;

c/ In case the administrative management cost estimate assigned by a competent authority does not permit, within 2 working days after receiving a proposal on advanced fund, the head of the compensation-settling agency shall request in writing the competent finance agency to advance a fund for payment of compensation to the compensation claimant.

3. A finance agency shall allocate a fund to a compensation-settling agency as follows:

a/ In case the compensation-settling agency has advanced a fund for payment of compensation to the compensation claimant, within 7 working days after receiving a proposal on additional fund allocation as mentioned at Point b, Clause 2 of this Article, the competent finance agency shall additionally allocate a fund to the compensation-settling agency;

b/ In case the compensation-settling agency sends a written request for an advanced fund as specified at Point c, Clause 2 of this Article, within 7 working days after receiving such request, the competent finance agency shall allocate a fund to the compensation-settling agency.

4. The head of the compensation-settling agency shall decide on the compensation amount to be advanced to the compensation claimant which must not be lower than 50% of the value of the damage specified in Clause 1 of this Article.

Article 45. Verification of damage

1. Compensation-settling persons shall verify damage for which compensation is claimed in dossiers. In case of necessity, a compensation-settling person may request the compensation claimant and other related individuals and organizations to provide documents and evidence for the verification, request the valuation of property, assessment of damage or collection of opinions of related individuals and organizations on damage and compensation level.

2. Within 15 days after accepting a dossier, a compensation-settling person shall complete the verification of damage. In case a case or matter subject to compensation claim settlement involves complicated circumstances or needs to be verified at different places, the time limit for verification of damage is 30 days from the date of acceptance of the dossier.

The time limit for verification of damage prescribed in this Clause may be prolonged under an agreement between the compensation claimant and compensation-settling person for 15 days from the date of its expiration.

3. Within 3 working days after the verification of damage is completed, a compensation-settling person shall complete a report on verification of damage for use as a basis for negotiations on compensation.

4. For a complicated case or matter, a compensation-settling agency may request representatives of the state management agency in charge of state compensation and competent finance agency to participate in the verification of damage.

5. Expenses for the valuation of property and assessment of damage shall be covered by the state budget.

6. The Government shall detail this Article.

Article 46. Negotiations on compensation

1. Within 2 working days after completing a report on verification of damage, a compensation-settling agency shall hold negotiations on compensation. Negotiations must be completed within 10 days after they are started. For a case or matter subject to compensation claim settlement involves many complicated circumstances, the time limit for negotiations is 15 days.

The time limit for negotiations prescribed in this Clause may be prolonged under an agreement between the compensation claimant and compensation-settling person for 10 days from the date of its expiration.

2. Negotiations must abide by the following principles:

a/ Compensation claimants and compensation-settling agencies are equal in the course of negotiations;

b/ Assurance of democracy and respect for opinions of participants in negotiations;

c/ Contents and results of negotiations on compensable damage and compensation amounts comply with this Law.

3. Participants in negotiations on compensation include:

a/ A representative of the leadership of the compensation-settling agency assuming the prime responsibility for the negotiations on compensation;

b/ The compensation-settling person;

c/ The compensation claimant; the person defending the lawful rights and interests (if any) of the compensation claimant as defined in Clauses 1, 2 and 3, Article 5 of this Law;

d/ A representative of the state management agency in charge of state compensation;

dd/ A representative of the competent procuracy in case of a compensation claim in criminal proceedings;

e/ In case of necessity, the compensation-settling agency may invite a representative of the same-level finance agency, other individuals and organizations, and request the damage-causing official duty performer to participate in negotiations.

4. Negotiations may be carried out at one of the following venues:

a/ In case the compensation claimant is an individual, the venue of negotiations is the office of the commune-level People’s Committee of the locality where he/she resides, unless otherwise agreed by the parties;

b/ In case the compensation claimant is an organization, the venue of negotiations is the office of the commune-level People’s Committee of the locality where it is based, unless otherwise agreed by the parties.

5. Contents of negotiation on compensation:

a/ Types of compensable damage;

b/ Compensation amount;

c/ Restoration of other lawful rights and interests (if any);

d/ Method of compensation payment;

dd/ Other contents related to the settlement of the compensation claim.

6. Negotiations shall be carried out in the following steps:

a/ The compensation claimant explains his/her/its compensation claim and additionally provides documents and evidence related to the claim (if any);

b/ The compensation-settling person discloses the report on verification of damage;

c/ The compensation-settling person and compensation claimant exchange their opinions and reach agreement on negotiation contents specified in Clause 5 of this Article;

d/ The representative of the compensation settlement presents his/her opinions; the damage-causing official duty performer presents his/her opinions (if any); individuals and representatives of other organizations present their opinions at the request of the negotiation organizer;

dd/ The representative of the finance agency presents his/her opinions on types of damage, damage level and compensation amount (if any);

e/ The representative of the state management agency in charge of state compensation presents his/her opinions.

7. Negotiations shall be recorded in minutes. In case the parties carry out many negotiations, each negotiation shall be recorded in minutes.

Right after a negotiation is completed, the compensation-settling person shall make a minutes of negotiation results. A minutes must clearly record the principal contents specified in Clause 5 of this Article and clearly state whether the negotiation is successful or unsuccessful. Such a minutes must bear the signature or fingerprint of the compensation claimant, signatures of representatives of agencies and persons participating in the negotiation specified in Clause 3 of this Article, each of whom shall receive one copy of the minutes.

8. In case of a successful negotiation, the head of the compensation-settling agency shall issue a compensation settlement decision under Clause 1, Article 47 of this Law.

In case of an unsuccessful negotiation, the compensation claimant may initiate a lawsuit to request the settlement of his/her/its compensation claim under Clause 2, Article 52 of this Law.

Article 47. Compensation settlement decisions

1. Right after a minutes of successful negotiation results is made, the head of a compensation-settling agency shall issue a compensation settlement decision and hand it to the competent claimant at the negotiation venue.

In case the compensation claimant refuses to receive the compensation settlement decision, the compensation-settling person shall make a minutes of refusal. The minutes must bear signatures of representatives of the agencies participating in the negotiation and clearly state legal consequences of refusal to receive the compensation settlement decision under Point dd, Clause 1, Article 51 of this Law. The compensation-settling agency shall send the minutes to the compensation claimant within 5 working days after it is made.

2. A compensation settlement decision will take effect 15 days after it is handed to the compensation claimant. A compensation settlement decision must have the following principal details:

a/ Full name and address of the compensation claimant;

b/ Ground for determining the state compensation liability;

c/ The contents specified in Clause 5, Article 46 of this Law;

d/ Money amount advanced under Article 44 of this Law (if any).

Article 48. Cancellation, modification or supplementation of compensation settlement decisions

1. The head of a compensation-settling agency shall issue a decision to cancel a compensation settlement decision and terminate the settlement of a compensation claim within 2 working days after having one of the following grounds:

a/ One of the grounds for determining the state compensation liability specified in Clause 1, Article 7 of this Law no longer exists;

b/ Document used as a basis for making the compensation claim is a forged one;

c/ Documents and papers specified at Points c and d, Clause 1 and in Clause 2, Article 41 of this Law have been forged to make the compensation claim.

2. Consequences of the cancellation of a compensation settlement decision under Clause 1 of this Article shall be handled as follows:

a/ In case the compensation has not been paid to the damage sufferer yet, the compensation-settling agency shall issue a decision to terminate the compensation settlement under Article 51 of this Law and recover the advanced compensation amount (if any);

b/ In case the compensation has been paid to the damage sufferer, the compensation-settling agency shall recover the paid compensation amount in accordance with law;

c/ In case the damage-causing official duty performer has reimbursed the compensation amount, the agency directly managing him/her shall return the money amount it has collected under Article 69 of this Law;

d/ To handle other consequences (if any) in accordance with law.

3. The head of a compensation-settling agency shall issue a decision to cancel a compensation settlement decision for re-handling within 2 working days after having one of the following grounds:

a/ There is an act of collusion between the compensation claimant and compensation-settling person and related persons for the self-seeking purpose;

b/ The compensation claimant so requests in case the compensation-settling person fails to satisfy the conditions prescribed at Point b, Clause 3, Article 43 of this Law or the negotiations are not carried out with all required participants or contents or according to the procedures prescribed in Clauses 3, 5 and 6, Article 46 of this Law.

4. The head of a compensation-settling agency shall issue a decision to modify or supplement a compensation settlement decision within 2 working days after detecting a clear misspelling or data error due to miscalculation in the decision.

5. A decision to cancel, modify or supplement a compensation settlement decision shall be immediately sent to the compensation claimant, competent state management agency in charge of state compensation and other related agencies, organizations and individuals.

Article 49. Postponement of the settlement of compensation claims

1. The head of a compensation-settling agency shall issue a decision to postpone the settlement of a compensation claim within 2 working days after the compensation claimant requests the compensation-settling agency to postpone the settlement of the compensation claim for the reason of his/her serious illness as certified by a district-level or higher-level medical establishment or for another plausible reason which renders him/her unable to participate in the settlement of the compensation claim.

2. The maximum duration of postponement of the settlement of a compensation claim shall be determined at the request of the compensation claimant but must not exceed 30 days, unless the compensation claimant remains seriously ill and is therefore unable to participate in the settlement of the compensation claim.

3. A decision to postpone the settlement of compensation must clearly state the reason for postponement and postponement duration and shall be sent to the compensation claimant, competent state management agency in charge of state compensation and other related agencies, organizations and individuals. Upon the expiration of the duration of postponement, the heads of the compensation-settling agency shall issue a decision to resume the settlement of compensation.

Article 50. Suspension of the settlement of compensation claims

1. The head of a compensation-settling agency shall issue a decision to suspend the settlement of a compensation claim within 1 working day after having one of the following grounds:

a/ The compensation claimant twice refuses to receive the invitation to participate in negotiations;

b/ The compensation claimant twice fails to show up at the negotiation venue after receiving the invitation without any plausible reason;

c/ The compensation claimant refuses to put his/her signature or fingerprint in the minutes of negotiation results;

d/ The competent agency or person re-examines the document used as a basis for making the compensation claim.

2. The duration of suspension of the settlement of a compensation claim is 30 days after the suspension decision is issued on one of the grounds specified at Points a, b and c, Clause 1 of this Article.

Within 5 working days after the expiration of the suspension duration specified in this Clause, the compensation claimant may request the resumption of the settlement of compensation. The head of the compensation-settling agency shall issue a decision to resume the settlement of compensation.

3. In case of suspension under Point d, Clause 1 of this Article, after receiving the re-examined document which is the one previously used as a basis for making the compensation claim, the head of the compensation-settling agency shall issue a decision to resume the settlement of compensation. In case the re-examined document is not the one previously used as a basis for making the compensation claim, the head of the compensation-settling agency shall issue a decision to terminate the settlement of compensation under Article 51 of this Law.

4. A suspension decision must clearly state the reason for suspension, suspension duration, rights and obligations of the compensation claimant and legal consequences of the suspension.

A compensation settlement suspension decisions or compensation settlement resumption decisions shall be sent to the compensation claimant, competent state management agency in charge of state compensation and other related agencies, organizations and individuals.

Article 51. Termination of the settlement of compensation claims

1. The head of a compensation-settling agency shall issue a decision to terminate the settlement of a compensation claim within 5 working days after having one of the following grounds:

a/ The compensation claimant withdraws the compensation claim before the compensation-settling agency verifies the damage;

b/ The damage sufferer dies without any heir; the damage-suffering organization terminates its existence without any organization taking over its rights and obligations;

c/ The suspension duration expires while the compensation claimant does not request the resumed settlement of the compensation claim under Clause 2, Article 50 of this Law or requests the resumed settlement of the compensation claim but commits one of the acts specified at Points a, b and c, Clause 1, Article 50 of this Law;

d/ There is a decision to cancel the compensation settlement decision in the cases specified in Clause 1, Article 48 of this Law;

dd/ Upon the expiration of the time limit of 30 days from the date of making the minutes of refusal to receive the compensation settlement decision prescribed in Clause 1, Article 47 of this Law, the compensation claimant still refuses to receive the decision.

2. A compensation claimant may not request a compensation-settling agency being the agency directly managing the damage-causing official duty performer to re-settle his/her/its compensation claim after a decision to terminate the settlement of the compensation claim is issued, unless he/she/it can prove that the withdrawal of the compensation claim is due to a fraudulence or coercion.

In the case specified at Point b, Clause 1 of this Article, if the written compensation claim of the damage sufferer makes a request for honor restoration, the honor restoration shall be carried out under Article 59 of this Law.

3. A compensation settlement termination decision shall be sent to the compensation claimant, competent state management agency in charge of state compensation and other related agencies, organizations and individuals.

4. In case a compensation amount has been advanced to the compensation claimant, the compensation-settling agency shall recover it when a compensation settlement termination decision is issued, except the case specified at Point b, Clause 1 of this Article.

Section 2

SETTLEMENT OF CIVIL CASES ON COMPENSATION CLAIMS, SETTLEMENT OF COMPENSATION CLAIMS IN CRIMINAL PROCEEDINGS OR ADMINISTRATIVE PROCEEDINGS AT COURT

Article 52. Initiation of lawsuits and procedures for settlement of compensation claims at court

1. Within 3 years after receiving a document for use as a basis for making his/her/its compensation claim, a compensation claimant may initiate a lawsuit to request a court to settle his/her/its compensation claim in the following cases:

a/ He/she/it has not yet requested the agency directly managing the damage-causing official duty performer to settle his/her/its compensation claim;

b/ He/she/it withdraws his/her/its compensation claim under Point a, Clause 1, Article 51 of this Law.

2. Within 15 days after receiving a compensation settlement decision specified Article 47 of this Law, if a compensation claimant disagrees with it; or after the minutes of successful negotiation results specified in Clause 7, Article 46 of this Law is made, if the agency directly managing the damage-causing official duty performer fails to issue a compensation settlement decision; or after the minutes of unsuccessful negotiation results specified in Clause 7, Article 46 of this Law is made, a compensation claimant may initiate a lawsuit at a court for settlement of his/her/its compensation claim.

3. In case a force majeure event or an objective obstacle as specified by the Civil Code renders a compensation claimant unable to initiate a lawsuit within the time limit for lawsuit initiation prescribed in Clause 1 or 2 of this Article, the period of existence of such force majeure event or objective obstacle shall not be included in this time limit.

4. A compensation claimant may not initiate a lawsuit to request a court to settle his/her/its compensation claim in case a compensation settlement decision specified in Article 47 of this Law has become legally effective.

5. The procedures for settlement of compensation claims at court shall be carried out under this Section. If this Section does not prescribe such procedures, the relevant provisions of the Civil Code shall apply.

6. For cases eligible for the application of summary procedures in accordance with the Civil Procedure Code, the settlement of compensation claims at court shall be carried out according to the summary procedures.

7. Agencies directly managing damage-causing official duty performers shall represent the State in participating in proceedings in the capacity as respondents.

Article 53. Identification of courts with jurisdiction to settle civil cases on compensation claims

1. District-level people’s courts of localities where compensation claimants reside or work or where respondents are based as chosen by compensation claimants have the jurisdiction to conduct first-instance trial of compensation claims in case respondents are the following agencies or bodies:

a/ Agencies specified in Clauses 3 and 4, Article 33 of this Law;

b/ Agencies specified in Clauses 5, 6 and 7, Article 33 of this Law at district and commune levels;

c/ District-level proceedings-conducting bodies and judgment execution bodies.

2. Provincial-level people’s courts of localities where compensation claimants reside or work or where agencies directly managing damage-causing official duty performers as chosen by compensation claimants have the jurisdiction to conduct first-instance trial of compensation claims, except the case specified in Clause 1 of this Article.

Article 54. Execution of the court’s judgments or rulings on settlement of compensation claims

1. Agencies directly managing damage-causing official duty performers shall pay compensations to compensation claimants under the court’s legally effective judgments or rulings on settlement of compensation claims.

2. Related agencies, organizations and persons shall restore the rights and other lawful interests of damage sufferers under the court’s legally effective judgments or rulings on settlement of compensation claims.

Article 55. Settlement of compensation claims in criminal proceedings or administrative proceedings at court

1. The settlement of a criminal case or an administrative case involving a compensation claim shall be carried out in accordance with the criminal procedure or administrative procedure law.

The time of acceptance of a compensation claim in criminal proceedings or administrative proceedings is the time the court with jurisdiction accepts it for settlement.

2. The determination of a compensable damage in criminal proceedings or administrative proceedings shall be carried out in accordance with this Law after the court with jurisdiction determines that the illegal act of the damage-causing official duty performer falls within the scope of state compensation liability.

3. In case of settlement of a compensation claim in criminal proceedings or administrative proceedings, a court’s judgment or ruling must also have the following details:

a/ Damage-causing act within the scope of state compensation liability;

b/ Damage, compensation amount, restoration of honor (if any) and restoration of rights and other lawful interests (if any);

c/ Agency having the responsibility to pay the compensation, restore the honor (if any) and restore rights and other lawful interests (if any).

4. In case a compensation claimant disagrees with the compensation settlement content in a court’s judgment or ruling or a court’s judgment or ruling has no compensation settlement content, he/she/it may continue exercising the right to claim compensation according to relevant procedures.

5. The Supreme People’s Court shall guide the implementation of this Article.

Section 3

RESTORATION OF HONOR

Article 56. Forms of restoration of honor

1. The restoration of honor for a damage sufferer in criminal proceedings shall be carried out in the following forms:

a/ Making a direct apology to, and public correction at the place of residence of, the damage sufferer being an individual or at the office of the damage sufferer being a commercial legal entity;

b/ Publishing a public apology and correction in the press.

2. The restoration of honor for an individual damage sufferer in case he/she has been forced to resign or subject to the administrative handling measure of consignment into a reformatory, compulsory education establishment or compulsory rehabilitation establishment shall be carried out in the form of publication of a public apology and correction in the press.

Article 57. Restoration of honor for damage sufferers before they make requests

1. Within 15 days after obtaining a document for use as a basis for compensation claim or a legally effective judgment or ruling of the court specified in Article 55 of this Law, the agency directly managing the damage-causing official duty performer shall notify in writing the damage sufferer of the restoration of honor organized by the State.

2. In case a damage sufferer agrees with contents of the notice, the agency directly managing the damage-causing official duty performer shall carry out the restoration of honor under Articles 58 and 59 of this Law.

3. In case a damage sufferer disagrees with contents of the notice, he/she may make specific requests regarding these contents so that the agency directly managing the damage-causing official duty performer may have grounds for the restoration of honor.

4. In case a damage sufferer requests the restoration of honor to be postponed, the restoration of honor shall be carried out only when the damage sufferer so requests in writing.

5. In case a damage sufferer waives the right to have his/her honor restored in accordance with this Law, he/she may no longer request the restoration of his/her honor. The waiver shall be made in writing. In case a damage sufferer orally waives the right to have his/her honor restored, the agency directly managing the damage-causing official duty performer shall make a minutes clearly stating the damage sufferer’s waiver of the right to restoration of honor. The minutes must bear the signature or fingerprint of the damage sufferer.

6. In case a damage sufferer has died, the agency directly managing the damage-causing official duty performer shall publish a public apology and correction in the press under Article 59 of this Law.

7. The Government shall detail this Article.

Article 58. Making of direct apologies and public correction

1. The making of a direct apology and public correction under Point a, Clause 1, Article 56 of this Law shall be organized as follows:

a/ Within 15 days after receiving a written consent or request of the damage sufferer for the restoration of honor as specified in Article 41 or 57 of this Law, the head of the agency directly managing the damage-causing official duty performer shall organize the making of a direct apology and public correction;

b/ Participants in the making of a direct apology and public correction include representatives of leaderships of the proceedings-conducting bodies and other related agencies, organizations and individuals.

2. The Government shall detail this Article.

Article 59. Publication of public apologies and correction in the press

1. The publication of a public apology and correction in the press under Point b, Clause 1 and Clause 2, Article 56 of this Law shall be carried out as follows:

a/ Within 15 days after receiving a written consent or request of the damage sufferer for the restoration of honor as specified in Article 41 or 57 of this Law, the head of the agency directly managing the damage-causing official duty performer at the central level shall publish a public apology and correction on 3 consecutive issues of a central newspaper and a local newspaper of the locality where the damage sufferer being an individual resides or where the damage sufferer being a commercial legal entity locates its office; and post such public apology and correction on its portal (if any);

b/ Within 15 days after receiving a written consent or request of the damage sufferer for the restoration of honor as specified in Article 41 or 57 of this Law, the head of the agency directly managing the damage-causing official duty performer at a local level shall publish a public apology and correction on 3 consecutive issues of a local newspaper of the locality where the damage sufferer being an individual resides or where the damage sufferer being a commercial legal entity locates its office; and post such public apology and correction on its portal (if any);

c/ Right after publishing a public apology and correction on a newspaper issue, the agency directly managing the damage-causing official duty performer shall send the newspaper to the damage sufferer and commune-level People’s Committee of the locality where the damage sufferer being an individual resides or where the damage sufferer being a commercial legal entity locates its office for public display at its office.

2. The Government shall detail this Article.

Chapter VI

COMPENSATION FUND AND PAYMENT PROCEDURES

Article 60. Compensation fund

1. The State shall allocate a fund from the state budget to discharge the state compensation liability. The compensation fund will cover:

a/ Compensation amounts to be paid to damage sufferers;

b/ Expenses for the valuation of property and assessment of damage.

2. For compensation-settling agencies with their operations funded by the central budget, the compensation fund shall be allocated from the central budget.

3. For compensation-settling agencies with their operations funded by local budgets, the compensation fund shall be allocated from provincial-level budgets.

4. The Ministry of Finance and provincial-level Finance Departments shall promptly and sufficiently allocate compensation funds.

Article 61. Estimation of compensation funds

1. Every year, based on actual compensation amounts and expenses for the valuation of property and assessment of damage covered by compensation funds of the preceding year, the Ministry of Finance shall make compensation fund estimates of compensation-settling agencies with their operations funded by the central budget and report them to the Government for submission to the National Assembly for consideration and decision in accordance with the law on the state budget.

2. Every year, based on actual compensation amounts and expenses for the valuation of property and assessment of damage covered by compensation funds of the preceding year, provincial-level Finance Departments shall make compensation fund estimates of compensation-settling agencies with their operations funded by local budgets and report them to provincial-level People’s Committees for submission to the same-level People’s Councils for consideration and decision in accordance with the law on the state budget.

Article 62. Allocation of compensation funds and payment of compensation amounts

1. Within 2 working days after a compensation settlement decision or the court’s judgment or ruling on settlement of a compensation claim becomes legally effective, the agency directly managing the damage-causing official duty performer shall send a dossier of request for allocation of a compensation fund to the competent finance agency.

2. A dossier of request for allocation of a compensation fund, except in the case specified in Clause 3 of this Article, must comprise:

a/ A written request for allocation of a compensation fund, containing sufficient information on the damage sufferer, ground(s) for determination of compensation amounts, specific compensation amounts for specific damage, advanced money amounts (if any) and total money amount requested to be allocated for payment of compensation;

b/ A copy of the document used as a basis for making the compensation claim;

c/ The legally effective judgment or ruling or decision of the agency competent to settle the compensation claim.

3. A dossier of request for allocation of a compensation fund in case of settlement of a compensation claim under Article 55 of this Law must comprise:

a/ A written request for allocation of a compensation fund, containing sufficient information on the damage sufferer, ground(s) for determination of compensation amounts, specific compensation amounts for specific damage and total money amount requested to be allocated for payment of compensation;

b/ The court’s legally effective judgment or ruling on settlement of the compensation claim.

4. Within 5 working days after receiving a complete dossier specified in Clause 2 or 3 of this Article, the finance agency shall complete the allocation of a compensation fund to the agency directly managing the damage-causing official duty performer.

In case of having a clear ground to believe that a dossier fails to satisfy the requirements specified in Clause 2 or 3 of this Article or that the compensation amount is different from that prescribed by law, the finance agency shall coordinate with the compensation-settling agency in completing the dossier and allocate a compensation fund within 15 days after receiving the dossier.

In case of having a clear ground to believe that the compensation amount stated in the court’s judgment or ruling on settlement of compensation specified in Clauses 1 and 2, Article 52 or Article 55 of this Law is different from that prescribed by law, the finance agency shall request a competent agency to settle the compensation according to the relevant procedures.

5. Within 2 working days after receiving a compensation fund allocated by the finance agency, the agency directly managing the damage-causing official duty performer shall notify in writing the compensation claimant of the payment of compensation. Within 2 working days after the compensation claimant receives a notice, the agency directly managing the damage-causing official duty performer shall pay the compensation.

6. Upon the expiration of the time limit of 3 years from the date of receipt of a notice mentioned in Clause 5 of this Article, if the compensation claimant still refuses to receive the compensation amount, the agency directly managing the damage-causing official duty performer shall carry out the procedures for remitting it into the state budget in accordance with law. The period during which a force majeure event or an objective obstacle exists as specified by the Civil Code shall not be included in the time limit mentioned in this Article.

Article 63. Finalization of compensation funds

1. After paying compensation amounts to damage sufferers, agencies directly managing damage-causing official duty performers shall send papers and documents related to the payment of compensation to the finance agencies that have allocated compensation funds for finalization in accordance with law.

2. At the end of a budget year, the Ministry of Finance and provincial-level Finance Departments shall finalize compensation funds in accordance with the law on the state budget.

Chapter VII

REIMBURSEMENT LIABILITY

Article 64. Reimbursement obligation of official duty performers

1. An official duty performer who is at fault in causing a damage is obliged to reimburse to the state budget part or the whole of the money amount already paid by the State as compensation to the damage sufferer.

2. In case many official duty performers jointly cause a damage, these persons are all obliged to reimburse compensation amounts in proportion to the degree of their own fault and damage compensable by the State.

Article 65. Determination of amounts to be reimbursed and reduction of reimbursement amounts

1. Grounds for determining an amount to be reimbursed include:

a/ Degree of fault of the official duty performer;

b/ Money amount paid by the State as compensation.

2. In case a damage is caused by only one official duty performer, the money amount to be reimbursed shall be determined as follows:

a/ The official duty performer who is intentionally at fault in causing the damage and confirmed to be guilty under a legally effective judgment shall reimburse the whole money amount paid by the State to the damage sufferer as the compensation;

b/ For the official duty performer who is intentionally at fault in causing the damage but whose act is not serious enough for penal liability examination, between 30 and 50 months’ his/her wage calculated at the time of issuance of the reimbursement decision shall be used for reimbursement which must not exceed 50% of the money amount paid by the State as the compensation;

c/ For the official duty performer who is unintentionally at fault in causing the damage, between 3 and 5 months’ his/her wage calculated at the time of issuance of the reimbursement decision shall be used for reimbursement which must not exceed 50% of the money amount paid by the State as the compensation;

d/ In case 50% of the money amount paid by the State as the compensation is lower than 30 months’ wage as specified at Point b of this Clause or lower than 3 months’ wage as specified at Point c of this Clause, the money amount which the official duty performer shall reimburse is equal to 50% of the money amount paid by the State as the compensation.

3. In case a damage is jointly caused by many official duty performers, the money amount to be reimbursed by each of them shall determined under Clause 2 but the total reimbursement amount must not exceed the money amount by the State as the compensation to the damage sufferer.

4. A money amount to be reimbursed by an official duty performer may be reduced if he/she fully satisfies the following conditions:

a/ Having taken the initiative in remedying the consequences;

b/ Having fulfilled his/her obligations throughout the course of settlement of the compensation claim and reimbursed at least 50% of the to-be-reimbursed money amount;

c/ Meeting financial difficulties.

The head of the agency directly managing the damage-causing official duty performer may decide to reduce the total to-be-reimbursed money amount by no more than 30%.

5. The Government shall detail this Article.

Article 66. Competence and procedures for determining the reimbursement liability

1. Within 10 days after completing the payment of a compensation amount, the head of the agency that has paid it shall form a council to consider the reimbursement liability. In case a damage is caused by many official duty performers from different agencies, the council for consideration of reimbursement liability shall be participated by representatives of the agencies related to the occurrence of the damage.

2. Within 20 days after being formed, a council for consideration of reimbursement liability shall complete the identification of damage-causing official duty performers, degree of fault and reimbursement liability of these persons and money amount to be reimbursed by each of them, and send a written request to the head of the agency that has paid the compensation amount. In case of a complicated case or matter, this time limit may be prolonged up to 30 days.

3. Based on the written request of the council for consideration of reimbursement liability, the head of the agency that has paid the compensation amount shall:

a/ Issue a decision on reimbursement to be executed by the damage-causing official duty performer, except the case specified at Point b of this Clause;

b/ Issue a decision on reimbursement to be executed in criminal proceedings by the damage-causing official duty performer under its management and request the head of the related proceedings-conducting body to issue a decision on reimbursement to be executed by the damage-causing official duty performer under such body’s management.

The head of the agency directly managing the damage-causing official duty performer shall issue a reimbursement decision and take responsibility before law for it.

4. A reimbursement decision shall be sent to the official duty performer with the reimbursement liability, the state management agency in charge of state compensation, and agencies and organizations related to the collection of reimbursement amounts.

5. The Government shall detail this Article.

Article 67. Reimbursement decisions and reimbursement reduction decisions

1. A reimbursement decision or reimbursement reduction decision takes effect on the date of its signing.

2. In case a reimbursement decision or reimbursement reduction decision is issued not in accordance with Articles 65 and 66 of this Law, the state management agency in charge of state compensation shall request the head of the agency directly managing the damage-causing official duty performer to reconsider such decision.

3. Based on the legally effective reimbursement decision or reimbursement reduction decision, the agency directly managing the damage-causing official duty performer shall collect the to-be-reimbursed money amount and fully and promptly remit it into the state budget in accordance with law, except the case specified in Article 70 of this Law.

Article 68. Reimbursement

1. Reimbursement may be made in a lump sum or in installments as determined in reimbursement decisions.

2. In case the reimbursement is made by gradual deduction from the monthly wage of an official duty performer, the deduction level must be equal to between 10% and 30% of the monthly wage.

3. In case a reimbursement-liable official duty performer is nursing an under-36 month infant or is a pregnant woman, he/she is entitled to reimbursement postponement under a decision of the head of the agency directly managing him/her.

Article 69. Handling of reimbursed money amounts and reimbursement liability in case the document used as a basis for making a compensation claim is no longer valid for use as such basis

1. In case a document used as a basis for making a compensation claim is determined by a competent state agency as being no longer valid for use as such basis while the damage-causing official duty performer has made the reimbursement, the agency directly managing him/her shall return the reimbursed money amount.

2. In case the head of the agency directly managing the damage-causing official duty performer has not yet issued a reimbursement decision, the determination of the reimbursement liability shall be suspended.

3. The Government shall detail this Article.

Article 70. Responsibility to collect reimbursed amount in case an official duty performer has moved to another agency or organization

1. The agency or organization that is directly managing, employing and paying wage to a damage-causing official duty performer shall collect the reimbursed amount under a reimbursement decision.

2. The agency that directly manages the damage-causing official duty performer at the time he/she causes the damage shall request the agency or organization that is directly managing and employing him/her and paying wage to him/her to collect the reimbursed amount under a reimbursement decision and remit it into the state budget in accordance with law.

Article 71. Responsibility to collect reimbursed amounts in case a damage-causing official duty performer has retired or resigned from work

1. The social security agency that is paying pension to a damage-causing official duty performer shall collect the reimbursed amount under a reimbursement decision and fully and promptly remit it into the state budget.

2. In case a damage-causing official duty performer has retired without pension or working for any agency or organization, the agency that directly manages him/her at the time he/she causes the damage shall organize the execution of the imbursement decision in accordance with law.

Article 72. Reimbursement liability in case a damage-causing official duty performer has died

In case a damage-causing official duty performer has died, the reimbursement decision ceases to be effective at the time of his/her death.

Chapter VIII

RESPONSIBILITIES OF STATE AGENCIES IN STATE COMPENSATION WORK

Article 73. Responsibility for state management of state compensation

1. The Government shall perform the uniform state management of state compensation in the administrative management, proceedings and judgment execution nationwide.

2. The Ministry of Justice shall act as the focal point in assisting the Government in performing the state management of state compensation and has the following tasks and powers:

a/ To formulate strategies and policies on state compensation;

b/ To promulgate according to its competence or submit to competent state agencies documents detailing and guiding the implementation of the Law on State Compensation Liability; to promulgate forms and books for use in state compensation;

c/ To provide professional instructions and foster professional skills in state compensation work; to answer inquiries about the application of the law on state compensation liability;

d/ To identify compensation-settling agencies under Points a and b, Clause 1, Article 40 of this Law;

dd/ To assist damage sufferers in carrying out the procedures for claiming compensation;

e/ To monitor and urge state compensation work; to assume the prime responsibility for, and coordinate with related agencies in, inspecting and examining state compensation work; to settle complaints and denunciations and handle violations in state compensation work in accordance with law;

g/ To make annual statistics on performance of state compensation work and report them to the Government under regulations;

h/ To request compensation-settling agencies to report on the settlement of compensation claims, performance of the reimbursement liability and disciplining of official duty performers in case of necessity;

i/ To perform the state management of international cooperation in state compensation work;

k/ To develop and manage a database on state compensation work;

l/ To request competent agencies to handle violations in the settlement of compensation claims and performance of the reimbursement liability in accordance with law;

m/ To request competent persons to protest against the court’s judgments and rulings having compensation settlement contents in accordance with law; to request heads of agencies directly managing damage-causing official duty performers to cancel compensation settlement decisions in case of having one of the grounds specified in Clause 1 and Point a, Clause 3, Article 48 of this Law;

n/ To assist the Government in coordinating with the Supreme People’s Court and Supreme People’s Procuracy in managing state compensation work in procedural fields;

o/ Other tasks and powers prescribed by law.

3. Provincial-level People’s Committees shall perform the state management of state compensation work in administrative management, proceedings and judgment execution in their localities and have the following tasks and powers:

a/ To provide professional instructions and foster professional skills in state compensation work;

b/ To identify compensation-settling agencies under Points a and b, Clause 1, Article 40 of this Law;

c/ To assist damage sufferers in carrying out the procedures for claiming compensation in their localities;

d/ To monitor, urge and examine state compensation work; to inspect and settle complaints and denunciations, and handle violations in state compensation work;

dd/ To assume the prime responsibility for, and coordinate with related agencies and organizations in their localities in, making annual statistics on performance of state compensation work and report them to the Ministry of Justice under regulations;

e/ To request compensation-settling agencies to report on the settlement of compensation claims, performance of the reimbursement liability and disciplining of official duty performers in case of necessity;

g/ To request competent agencies to handle violations in the settlement of compensation claims and performance of the reimbursement liability within their scope of management;

h/ To request competent persons to protest against the court’s judgments and rulings having compensation settlement contents in accordance with law; to request heads of agencies directly managing damage-causing official duty performers to cancel compensation settlement decisions in case of having one of the grounds specified in Clause 1 and Point a, Clause 3, Article 48 of this Law;

i/ Other tasks and powers prescribed by law.

4. Provincial-level Justice Departments shall assist provincial-level People’s Committees in performing the state management of state compensation work in their localities.

Article 74. Responsibilities of the Supreme People’s Court and Supreme People’s Procuracy

Within the ambit of their functions, tasks and powers, the Supreme People’s Court and Supreme People’s Procuracy shall:

1. Coordinate with the Government in performing the contents of state management of state compensation work specified in Clause 2, Article 73 of this Law;

2. Examine, inspect and settle complaints and denunciations about state compensation in accordance with law;

3. Direct compensation-settling agencies in performing compensation work, determining the reimbursement liability, executing reimbursement decisions and imposing disciplinary forms according to their competence;

4. Handle and direct the handling of violations in the settlement of compensation claims and performance of the reimbursement liability;

5. Annually or at the request of the state management agency in charge of state compensation work, make statistics and reports to the Government on the performance of state compensation work;

6. Direct people’s courts and people’s procuracies to coordinate with competent agencies in performing the state management of state compensation work;

7. Respond to and realize recommendations of the state management agency in charge of state compensation;

8. Perform other tasks and exercise other powers prescribed by law.

Article 75. Responsibilities of ministries, ministerial-level agencies and government-attached agencies

Within the ambit of their functions, tasks and powers, ministries, ministerial-level agencies and government-attached agencies shall:

1. Coordinate with the Ministry of Justice in performing the contents of state management of state compensation work specified in Clause 2, Article 73 of this Law;

2. Examine, inspect and settle complaints and denunciations about state compensation in accordance with law;

3. Direct compensation-settling agencies in performing the compensation work, determining the reimbursement liability, executing reimbursement decisions and imposing disciplinary forms according to their competence;

4. Handle and direct the handling of violations in the settlement of compensation claims and performance of the reimbursement liability;

5. Annually or at the request of the state management agency in charge of state compensation work, make statistics and reports on the performance of state compensation work;

6. Respond to and realize recommendations of the state management agency in charge of state compensation;

7. Perform other tasks and exercise other powers prescribed by law.

Chapter IX

IMPLEMENTATION PROVISIONS

Article 76. Court fee, fees, other charges and taxes in the course of settlement of compensation claims

1. Compensation-settling agencies shall not collect court fee, fees and other charges for contents of compensation claims falling within the scope of state compensation liability as prescribed in this Law.

2. Damage sufferers are not required to pay personal income tax or enterprise income tax on compensation amounts they receive.

Article 77. Effect

1. This Law takes effect on July 1, 2018.

2. Law No. 35/2009/QH12 on State Compensation Liability ceases to be effective from the effective date of this Law.

Article 78. Transitional provisions

1. Compensation claims that are accepted by compensation-settling agencies for settlement before the effective date of this Law but remain unsettled or are being settled shall be further settled in accordance with Law No. 35/2009/QH12 on State Compensation Liability.

2. From the effective date of this Law, cases eligible for compensation as specified by Law No. 35/2009/QH12 on State Compensation Liability, for which the statute of limitations has not yet expired in accordance with Law No. 35/2009/QH12 on State Compensation Liability, and for which claims for state compensation have not yet been made or for which claims have been already made but not yet settled, shall be settled in accordance with this Law.

This Law was passed on June 20, 2017, by the XIVth National Assembly of the Socialist Republic of Vietnam at its 3th session.-